Facebook Exchange ads offer serious benefits to advertisers, according to a new infographic from MDG Advertising. Titled “A Marketer’s Guide to Retargeting on Facebook,” MDG explains how Exchange ads work, and how they perform over sidebar ads for example.
In June 2012, Facebook Exchange was launched, enabling advertisers to easily retarget users on the social network.
Right-hand side or sidebar Exchange ads were the first to roll out, and News Feed ads launched in May 2013.
With traditional ads, you can target users based on demographic, pages they have liked, and interests. With FBX ads, you are able to target users if they previously visited your site or sites similar.
According to MDG’s findings, ads in the News Feed saw a 197 percent increase in ROI over sidebar ads, and a 21-time higher click-through rate than web retargeting.
Compared to sidebar ads, Facebook Exchange News Feed ads received a 49-time higher click-through rate.
The cost per click (CPC) was found to be 54 percent lower in the News Feed, and cost per action (CPA) was 45 percent lower when compared to ads in the sidebar.
This data is definitely great news for Facebook, having beat Q2 2013 revenue estimates, and who’s stock price is nearly at its pre-IPO level of $38 per share.